Cormark Securities Inc: Fission Uranium & Alpha Minerals (July 2013)

Mike Kozak (416) 943-6749
mkozak@cormark.com
URANIUM
July 3, 2013 Patterson Lake South
Exciting New High-Grade Discovery In The
Athabasca Basin

Alpha Minerals Inc.
Recommendation: Buy (S)
Target Price: C$6.50
Company Statistics:
Stock Symbol: AMW - TSXV
Price: C$3.83
Shares Outstanding:
Basic: 25.3 MM
Diluted: 31.4 MM
Management: 0.6 MM
Market Cap: C$96.9 MM
Market Float: C$94.6 MM
Cash: C$17.5
Debt: Nil
Avg. Daily Trading Volume: 261,066
High – Low (52-Week): C$5.10 – C$0.20
Fission Uranium Corp.
Recommendation: Buy (S)
Target Price: C$1.25
Company Statistics:
Stock Symbol: FCU - TSXV
Price: C$0.65
Shares Outstanding:
Basic: 149.4 MM
Diluted: 162.4 MM
Management: 6.1 MM
Market Cap: C$97.1
Market Float: C$93.1
Cash: C$17.0
Debt: Nil
Avg. Daily Trading Volume: 917,832
High – Low (52-Week): C$0.84 – C$0.52
Disclosure statements located
on pages 20-23 of this report
Unless otherwise denoted, all figures shown in US$
We are using a US$0.95 conversion rate
The Patterson Lake South (“PLS”) project is a 50/50 JV between
Alpha Minerals Inc. (AMW-TSXV) and Fission Uranium Corp. (FCU-
TSXV) located in the southwest Athabasca Basin in Northern
Saskatchewan. The assay results on discovery holes, PLS12-022,
and PLS12-024 were released in December last year, with
intersections of 8.5m @ 1.07% U3O8 and 18.0m @ 1.78% U3O8
respectively, both within very close proximity to surface. These
were then followed up by step-out results earlier this year including
34m @ 4.92% U3O8 (PLS13-038) and 49.5m @ 6.26% U3O8
(PLS13-053).
Given its extremely high grade nature, in our view, the project is the
most exciting new discovery since Denison’s (Buy – C$2.25 target)
Wheeler River project and has many similarities to Hathor’s
Roughrider project, which was acquired by Rio Tinto for C$654 MM
in a 2011 bidding war with Cameco (Buy – C$31.00 target). At
present, mineralization at PLS occurs within three discrete zones
(R00E, R390E, R780E) which each remaining open, across a strike
length of +800m (open). Uranium mineralization is hosted within the
basement (+55m depth) and, locally, often occurs as visible
massive pitchblende, the ideal mineral for adding pounds quickly
due to its high specific gravity.
We believe the PLS-JV will be able to “prove-up” a 25 MMlb high-
grade 43-101 uranium resource within 12-months (R00E + R390E),
while being able to demonstrate potential for a +50 MMlb resource
across all three zones at that time as well. This is a moving target
and will be adjusted as more drill data becomes available. Our
target prices on Alpha and Fission are based on their proportionate
50% stake in a 50 MMlb high-grade resource, at an ascribed value
of $7.50/lb in situ (a 25% discount to recent high-quality takeouts in
the U space Hathor and Mantra). We rate both Alpha and Fission
a Buy (S) and initiate coverage with price targets of C$6.50 and
C$1.25, respectively.
During the past twenty-four months, Cormark Securities Inc., either on its
own or as a syndicate member, participated in the underwriting of
securities for Alpha Minerals Inc. and Denison Mines Corp.

JULY 3, 2013 MIKE KOZAK 416·943·6749
2
Patterson Lake South To Heat Up In 2013
Report Outline While both Alpha Minerals and Fission Uranium have a portfolio of other early stage
projects, the main focus for both companies over the next year at least will be on their
50/50 JV PLS project. For the purpose of this report, we ascribe a value of zero to all
Alpha and Fission projects with the sole exception of the PLS project. As a result, our
NAVPS estimate for both AMW and FCU is effectively the year-end cash balance for
both companies and the attributable (50%) value we place to each on the PLS project.
In this report, we will first outline and discuss the geology, history, and longer-term
upside of PLS, before going into the valuation methodology for our projected 50 MMlb
resource model. To be clear, we do not expect the initial 43-101 report (Q1/14) to
showcase a 50 MMlb resource, as the drill program outlined this year will likely only be
on a tight-enough spacing to encompass the first two zones R00E and R390E (which we
expect to come in at ~25 MMlb). However, as R780E and additional radon anomalies
(new targets) will see drilling this year, we expect the AMW-FIS JV to be able to
reasonably demonstrate a total mineral inventory of approximately 50 MMlb, and
therefore base our valuation on this figure.
After discussing the geology and valuation, the report will touch on both Alpha and
Fission as individual companies, providing backgrounds, an overview of other properties,
financial positions, and management team bios.
Based on a targeted 50 MMlb high-grade resource at PLS at an ascribed valuation of
$7.50/lb in situ (rationale discussed later in report) we are launching coverage on Alpha
Minerals and Fission Uranium with Buy (S) ratings and price targets of C$6.50 and
C$1.25, respectively.
Figure 1 Location Of The PLS Project
Source: Fission Uranium

JULY 3, 2013 MIKE KOZAK 416·943·6749
3
Background The Patterson Lake South property comprises 17 contiguous blocks totaling 31,039 km2
and is located approximately 550km NW of Price Albert, Saskatchewan, just outside of
the southwestern area of the Proterozoic Athabasca Basin in Northern Saskatchewan.
While not necessarily on the “ideal” side of the Basin due to the location of the various
mineral processing plants in Northern Saskatchewan, access to the PLS site is excellent
year-round without dependence on an ice road due to Provincial Highway 955 that bisects
the concession. The past-producing Cluff Lake mine site (64.2 MMlb mined @ 0.92%
U3O8) is located approximately 80km north of PLS, and the Shea Creek deposit (UEX-
TSX, not covered) is approximately 50km north. The 50/50 JV agreement between AMW
and FCU at PLS was established in January 2008. At present, Fission acts as operator,
and will until April 1, 2014. At that point, operatorship will revert to Alpha Minerals for a
period of two years and alternate thereafter, every two years, between both companies.
There are no outstanding royalties or back-in rights on the property. The majority of
discovery zone R00E is located under land, but zones R390E and R780E are covered by a
shallow 4-8m deep portion of the Patterson Lake (see Figure 8).
Figure 2 Athabasca Unconformity Geologic Model
Source: U3O8 Corp.
Simple Overview Of
Unconformity-Related
Uranium Deposits
Unconformity-related uranium deposits, such as those in the Athabasca Basin, are among
the richest in the world (of any ore type), and account for approximately ~20% of global
uranium production. Simply put, these types of deposits consist of a bottom layer of rock
referred to as the “basement” (Canadian Shield in the case of the Athabasca, Archean,
+2.5 BB years old) overlain by a younger layer (Athabasca Sandstone,
Proterozoic/Phanerozoic, 0.6 BB – 2.5 BB years old), the intersection of which is referred
to as the “unconformity.” Over time, as water flowed through the porous upper
Proterozoic/Phanerozoic sandstone layer and along the “unconformity” intersection, it
would dissolve (oxidize) the uranium minerals contained in the lower “basement”
Archean layer. This would continue for millions/billions of years, until the uranium and
oxygen-rich hydrothermal-fluids in the sandstone layer met what is referred to as a
“reducing front”. In the case of the Athabasca, “reducing fronts” take the form of

JULY 3, 2013 MIKE KOZAK 416·943·6749
4
graphitic faults, as graphite is prevalent in the Archean Canadian Shield and is an
excellent reductant (redox reaction). Upon meeting the graphitic reducing front, the
soluble uranium within the hydrothermal fluid is precipitated out along and in the area
around the “unconformity” as a highly concentrated mass of uranium mineral (uraninite,
pitchblende, etc.) As such, in these types of systems, uranium mineralization typically
exists at the unconformity, but can also leak into the upper (sandstones) layers to a
degree. In the case of basement-hosted deposits in the Athabasca (McArthur River and
PLS as two examples), hydrothermal fluid flow can be either from the upper sandstone
layer to the basement (ingress) or vice versa (egress), though the presence of a graphite
source is still required for precipitation. With unconformity-related uranium deposits in
the Athabasca almost always associated with a nearby graphitic fault or graphite source,
it is also the reason why airborne electromagnetic surveys tend to work well, as graphite
has strong electrical conductivity. This is why the graphite source associated with
Athabasca unconformity-related uranium deposits is referred to as a “conductor”. The
circulation of the hydrothermal fluids as the uranium is precipitated out will also cause
alteration of both the basement and sandstone host rocks in the form of a halo. Various
alteration types within the halo include illite, kaolinite, dravite, chlorite, etc. These
alteration halos can be detected within drill core, and provide another way of “zeroing in”
on the uranium deposit itself.
Past Work At PLS And How
The Discovery Was Made
Patterson Lake South was effectively discovered via a high resolution airborne
radiometric survey that identified strong anomalies, which when followed up on surface,
was determined to be one of the largest surface uranium boulder trains in the Athabasca
Basin (glacially transported basement rocks assaying up to 40.0% U3O8). Covering an
area of approximately 7.4 km by up to 1.0 km, glacial studies determined that the likely
bedrock source of the uranium boulders was 3-5 km to the northeast (up-ice from most
recent glaciation) of the boulders. Detailed geophysical surveys consisting of airborne
VTEM and ground SMLTEM (electromagnetic surveys), and DC resistivity developed
highly prospective drill targets in the proposed bedrock source area, and the initial drill
discovery (R00E zone) was made on November 3, 2012, while testing these targets. What
follows is a brief history leading up to discovery hole PLS12-022:
• 2007: Airborne electromagnetic and magnetic surveys of the northern portion of
PLS were completed by ESO Uranium (Alpha Mineral’s former name) and
Fission Energy (Fission Uranium’s former name). Results were of low
resolution.
• 2008: Radon in soil gas surveys were done in the northern portion of PLS.
Values were generally low. Following an intensive historical assessment report
and data review for PLS and nearby areas, additional land was staked to the
south of the original mineral claims to include a 1.2 x 1.6 km radon in soil
anomaly and historical electromagnetic conductors (the Patterson Lake conductor
corridor).
• 2009: A high resolution airborne magnetic and radiometric geophysical survey
was completed across all PLS concessions. The survey successfully delineated
different basement lithologies. A structural interpretation was then completed
identifying surface and basement faults, shear zones and structurally complex
areas. The radiometric spectrometer survey results outlined a strong uraniferous
anomaly that covered an area of 3.9 x 1.4 km.
• 2010: Staked additional ground to include the southwestern portion of the
airborne uraniferous radiometric anomaly.
• 2011: The 3.9 x 1.4 km radiometric anomaly identified in 2009 was surveyed,
leading to the discovery of a radioactive boulder field containing several
uraniferous “hotspots.” A total of 18 trenches were excavated within and

JULY 3, 2013 MIKE KOZAK 416·943·6749
5
northeast (up-ice) of the uranium boulder field, and 50 uraniferous boulders were
recovered. The area itself was found to be coincident with historical
electromagnetic conductors close to the west shore of the Patterson Lake. The
boulders were found to be basement-hosted, rounded to sub-angular,
soft/crumbly, and densely situated in some areas. This suggested the possibility
of a nearby bedrock source. Boulders assayed as high as 39.6% U3O8. A 7-hole
diamond drill program was completed in November and December which did not
locate the bedrock source, but did indicate favourable geology and alteration
patterns.
• 2012: The 16-hole diamond drill program from February to April encountered
favourable geology and alteration, but only weak to moderate uranium
mineralization over thin widths. The Fall 2012 program started off with a small
boulder prospecting program that recovered an additional 40 uraniferous
boulders that assayed as high as 40.0% U3O8. The 9-hole diamond drill program
from October to November yielded discovery hole PLS12-022: 8.5m @ 1.07%
U3O8 including 2.5m @ 2.63% U3O8. The following three drill holes
encountered uranium mineralization, and were highlighted by drill hole PLS12-
024 which returned 18.0m @ 1.78% U3O8 including 3.5m @ 4.33% U3O8.
PLS Geological Overview Approximately 70-110m of Quaternary glacial sediments (sand, gravel, boulder, and clay
lodgement till overburden) overlie Cretaceous units (Manville and Colorado), that
comprise primarily mudstone, sandstone and coal. The eastern limit of this unit is
irregular, but in general terminates just west of Patterson Lake. Beneath Patterson Lake
45-55m of Quaternary sediments overlie the Archean basement; however, a thin veneer
(0.2-5.0m) of Devonian aged sandstone is present along the electromagnetic conductor
that hosts the R00E and R390E zones. The property-wide basement regolith comprises
disaggregated quartz grains within a matrix of fine-grained chlorite, clay, hematite and
sericite. The basement comprises three important lithologies: pelitic gneiss (+/- graphite
and pyrite), semi-pelitic gneiss, and quartz-feldspar gneiss. The North-South Clearwater
intrusive domain is thought to be one of the sources of the original uraninferous fluids.
Locally, clay, chlorite and hematite alteration are pervasive throughout drill core, and
mineralization mainly occurs as flecks, blebs, clots, veins, and semi-massive and massive
pitchblende (UO2) hosted within pelitic gneiss (with graphite consumed), and
occasionally crosses lithological boundaries into the semi-pelitic and quartz-feldspar
gneisses. AMW/FCU get excellent geophysical resolution and radon results due to the
shallow nature of the basement bedrock in the area. Drill holes are typically targeted
based on kinked electromagnetic conductors (indicating possible dilation zones),
resistivity lows (indicating possible clay alteration haloes), and radon anomalies
(indicating a uranium source at depth). The discovery of the R390E and R780E zones is
largely associated with drill testing radon in water anomalies from the bottom of
Patterson Lake. We note that some of the largest radon anomalies have yet to see any
drilling (see Figure 6). This will be addressed as part of the 2013 drill program. On a
regional scale, there appears to be a trough in the elevation of the basement on the PLS
concession, which is thought to have concentrated uranium mineralization (see Figure 4).

JULY 3, 2013 MIKE KOZAK 416·943·6749
6
Figure 3 PLS Plan View
Source: Alpha Minerals
The Mineralized Zones
At PLS
To date, drilling at PLS has centered on three areas/zones - R00E, R390E and R780E.
The majority of the R00E zone is located on land, and was identified via discovery hole
PLS12-022 (discussed earlier in report). Zones R390E and R780E are within Patterson
Lake at depths of 4-8m, and were identified via drilling along the southernmost conductor
(PL-3B) in areas with anomalous radon in lake water and sediments on the lake bottom.
R00E has been delineated over a strike length of ~120m, a lateral extent of ~50m, and a
vertical extent of ~30m (begins 50m below surface). R00E is the only zone thus far that
has some uranium mineralization occurring within the thin veneer of Devonian
Sandstone. The vast majority of uranium mineralization in R00E and the other zones
occurs in the basement. The R00E zone is open in every direction, and will require barren
drill holes around its perimeter before a resource calculation may be completed. Zone
R390E is located 390m east-northeast from the centre of R00E and is open laterally, and
in both directions along strike. This is the zone we are most excited about, as it has
yielded the highest grade and widest intersections at the PLS Project thus far (outlined
later in the report). At present, it has been proven contiguous over a strike length of 60m,
lateral extent of ~25m, and vertical extent of ~50m. Only a handful of holes have been
drilled into the R780E zone, so its strike length, lateral and vertical extents are unknown
at this point. That said, the best result at R780E (PLS13-060: 7m @ 1.3% U3O8,

JULY 3, 2013 MIKE KOZAK 416·943·6749
7
including 2.5m @ 3.00% U3O8) was the southernmost completed hole, and so follow-up
drilling this summer will begin immediately south of PLS13-060. The overall mineralized
system plunges very shallowly at ~10 degrees to the east-northeast along the PL-3B
conductor trend, with the R00E zone flat lying and almost “pancake like” in shape, and
the R390E zone sub-vertical in orientation following the steeply dipping meta-sediments
at 70-85 degrees to the south. We view it as highly unlikely that the three zones will
prove to be continuous, but see a strong potential for additional zones between the
existing mineralized zones (R00E, R390E, and R780E), further along strike and down
plunge from R780E, and west of R00E. Moreover, there are a number of other promising
looking conductors on the PLS concessions that line up well with in-soil radon
anomalies. We also note that some of the largest radon anomalies along the PL-3B
conductor have still yet to be drilled. Several of these will be tested before year-end.
Figure 4 Basement Elevation
Figure 5 East-West Long-Section At PLS

JULY 3, 2013 MIKE KOZAK 416·943·6749
8
Drill Hole Intersections
Reported
The drilling “hit rate” at PLS (above 0.05% U3O8) is sitting at 91.3%, a very impressive
stat given the relatively “tiny” size of unconformity-related uranium deposits in general.
To date, 71 diamond drill holes have been completed at the PLS project. Below are some
of the key drill intersections reported by zone, as part of the 2012 and 2013 exploration
programs:
R00E Zone
• PLS13-022: 8.5m @ 1.07% U3O8 from 70.5m (December 5, 2012)
• PLS13-024: 12.5m @ 2.49% U3O8 from 65.5m (December 5, 2012)
• PLS13-027: 37.5m @ 1.17% U3O8 from 61.0m (April 10, 2013)
• PLS13-043: 22.0m @ 4.80% U3O8 from 67.5m (May 16, 2013)
• PLS13-052: 18.0m @ 3.56% U3O8 from 75.5m (May 16, 2013)
• PLS13-059: 20.5m @ 8.57% U3O8 from 65.6m (May 27, 2013)
• PLS13-067: 6.0m @ 4.63% U3O8 from 61.5m (June 5, 2013)
R390E Zone
• PLS13-038: 34.0m @ 4.92% U3O8 from 87.0m (March 24, 2013)
R780E Zone
Figure 6 Radon In Water Values (pCi/L)

JULY 3, 2013 MIKE KOZAK 416·943·6749
9
Cormark’s Preliminary
Resource Estimate
We believe AMW/FCU have already drilled off a ~15 MMlb resource grading +3.0%
U3O8 at PLS (zones R00E and R390E) but both zones remain wide open, and some of
the best intersections have seen little to no follow-up drilling. This resource estimate is
preliminary in nature, and is a moving target that will change as more drilling is
completed. It is based on the following parameters:
R00E Zone: 125m strike length, 50m horizontal extent, 9.0m average thickness, 2.8%
U3O8 grade, 2.6 specific gravity.
R390E Zone: 60m strike length, 25m horizontal extent, 14.5m average thickness, 4.7%
U3O8 grade, 2.6 specific gravity.
Grades and average mineralized thicknesses are an approximate blended weighted
average of drilling at both zones to date. Strike and horizontal extent are approximated
via drilling plan maps. Specific gravity is our estimation based on the ratio of uranium
mineralization occurring as pitchblende.
Alpha and Fission intend to release an initial 43-101 resource in mid-2014. To date, we
believe the PLS project has demonstrated ~15 MMlb in resource, but with the system far
from closed off, we believe the initial 43-101 resource will likely “prove up” ~25 MMlb.
In our view, the initial 43-101 will likely only have sufficient drill density in zones R00E
and R390E, and we believe R390E will likely look larger, and higher grade than R00E.
While we expect the initial 43-101 to come in at ~25 MMlb, our target price on both
Alpha and Fission is based on a total resource (100% basis) of 50 MMlb at PLS, which
we believe the JV will be able to reasonably demonstrate by mid-2014, though this will
not be 43-101 compliant. This target will be revised up or down as more drilling is
completed on the project.
Figure 7 Massive Pitchblende In Holes R00E PLS13-059 And R390E PLS13-053
Source: Cormark Securities Photos

JULY 3, 2013 MIKE KOZAK 416·943·6749
10
Plan In 2013, Catalysts
Going Forward
Alpha and Fission will be spending a combined $6.95 MM on exploration this year with a
focus on continuing to delineate the R00E, R390E and R780E zones. Initially two barge
diamond drill rigs will start on R390E and R780E with a third land diamond drill rig
arriving several weeks later and delineating the western extent of R00E (where it remains
open). Later in the year, the JV will drill two never-before-tested radon anomalies, the
first being ~170m ENE of R780E and the second being between R390E and R780E. An
additional radon anomaly exists ~390m WSW of R00E though it is unclear if the JV will
get to drill testing it this year. The 11,000m summer drill program will get underway by
early July, with initial scintillometer results like by mid- to late-July, followed by assay
results in early August. Between scintillometer and chemical assays, results should be
continuous (every 1-2 weeks) through the summer and winter programs (next 9 months).
With $17.5 MM (AMW) and $17.0 MM (FCU) in cash, both companies are sitting pretty
for at least another 12-15 months.
Figure 8 R00E Discovery Zone Looking Toward R390E Zone (Underwater)
Source: Cormark Securities Photos

JULY 3, 2013 MIKE KOZAK 416·943·6749
11
Valuing “High Quality” Pounds In The U Space
Scarcity Value Of High
Grade U Deposits Should
Have Both Companies
Trade At A Premium
The Athabasca Basin has yielded the highest grade orebodies of any metal, anywhere in
the world. To put AMW/FCU’s best hole at PLS into context (PLS13-051: 53.0m @
6.57% U3O8), in terms of value, it would be equivalent to drilling 100m @ 3,630g/T Au
from near surface, in what will most likely be an open-pitable deposit. Valuing truly
world-class discoveries is challenging, particularly due to the fact that there are so few of
them in the hands of junior companies, and the “scarcity value” is therefore significant.
Should exploration demonstrate the degree of success we ultimately expect at PLS (50
MMlb of high grade U3O8), we believe it is highly likely that both companies will be
consolidated in some way, likely via a merger of equals between AMW-FCU, followed
by potential acquisition by a major in the region (Cameco, Areva, Rio Tinto, etc.) In the
meantime, investors need to ascribe a value to Alpha and Fission and we believe the two
best recent comparables are Hathor (acquired by Rio Tinto) and Mantra (acquired by
ARMZ/UUU). While both vary significantly in terms of grades, size, location,
permitting, etc., both companies are among the very few to have defined, in the last
several years, what we regard as top-tier uranium assets, a class that we believe PLS
belongs to. Figure 9 below provides a valuation snapshot of both companies.
Figure 9 Valuation Comparison To Hathor, Mantra
Mantra Resources Hathor Exploration
Project Mkuju River Roughrider
Country Tanzania Canada
Type Sandstone hosted, open-pit Unconformity-related, underground
Development Stage Pre-feasibility Pre-feasibility
Ownership 100% 100%
M&I Resource (Kt) 67,700.0 394.2
M&I Grade (%) 0.04% 2.0%
M&I Contained (MMlb) 65.6 17.2
Total Resource (Kt) 108,900.0 555.8
Average Grade (%) 0.04% 4.7%
Total Contained (MMlb) 101.4 57.9
Date of Acquisition Announcement December 16, 2010 August 26, 2011
U Price On Date Of Acquistion $61.00 $49.00
Acquired By Uranium One / ARMZ Rio Tinto (bidding war with Cameco)
Final Acquisition Price (MM$) $1,020 $636
EV When Acquired (MM$) $953 $610
EV / M&I Resource ($/lb) $14.53 $35.42
EV / Total Resource ($/lb) $9.40 $10.53
Source: Company filings
Applying $7.50/lb In Situ
For Our Valuation On PLS
As the resource at PLS is proved up, we will ultimately move to a DCF-based NAVPS
for our valuation of both Alpha and Fission, but this +12 months away. In the interim, we
are ascribing a value of $7.50/lb U3O8 on a total resource of 50 MMlb at PLS (100%
basis). The 25% discount vs. the takeout value of Hathor and Mantra (~$10.00/lb
M&I+Inferred on average) is meant to reflect the earlier stage of PLS, the preliminary
nature of our conservative initial resource estimate, as well as potential equity dilution
down the road, as money continues to be spent on drilling. As the project is derisked, and
we get more comfortable with the size and grade of the resource, we will likely boost our
valuation multiple ($/lb in situ) higher.

JULY 3, 2013 MIKE KOZAK 416·943·6749
12
Alpha Minerals, Company Description
Alpha Minerals Company
Background
ESO Uranium was incorporated on July 19, 2000, and on November 2, 2012, changed its
name from ESO Uranium to Alpha Minerals. The company is headquartered in
Vancouver, and is almost entirely focused on advancing the PLS (50% JV). In addition to
PLS, Alpha also holds the Cluff and Hook concessions (in the area of PLS) as well as the
Mikwam gold property in North Eastern Ontario and the Donna gold property in South
Central British Columbia. We ascribe no value to these other assets as AMW is spending
little to no time on them in light of the recent PLS discovery. The company has C$17.5
MM in cash, having closed a C$12.28 MM flow-through and common share private
placement on April 25, 2013 at C$4.40/FT share and C$4.00 per common share. Prior to
this, on January 28, 2013 Alpha raised C$3.15 MM in a flow-through private placement
at C$2.10 per share. Relative to most junior exploration companies (of any commodity)
we would characterize Alpha’s management team, geologists, and Board of Directors as
above average, and highly experienced both at the technical/geological level and at the
corporate level. The team has a track record of exploration success and creating
significant shareholder value in its previous ventures, namely, Hathor Exploration which
was sold to Rio Tinto for C$654 MM in a bidding war with Cameco.
Figure 10 NAVPS Estimate/Capital Structure For Alpha Minerals
Cash (Current - C$ MM) C$17.50
Cash (Year-end - C$ MM) C$12.50
Shares Out (Current - 000s) 25,329.71 Strike Expiry
Warrants (000s): 1,288.67 C$1.80 Dec 2013
69.80 C$1.60 Dec 2013
910.00 C$1.50 Feb 2014
521.65 C$1.20 Feb 2014
22.50 C$2.10 Jan 2015
875.00 C$5.00 Apr 2015
88.50 C$4.40 Apr 2015
105.15 C$1.00 May 2015
Options (000s): 255.00 C$1.00 Oct 2015
247.50 C$1.20 Dec 2016
257.50 C$1.20 Mar 2017
365.00 C$1.50 Dec 2017
100.00 C$1.69 Dec 2017
50.00 C$1.77 Jan 2018
685.00 C$4.00 Apr 2018
200 C$3.88 May 2018
Total Diluted Shares Outstanding (000s) 31,370.98
Fully Diluted (Treasury) 000s 29,208.33
Patterson Lake South
Resource (MMlb) - 100% 50
Value ($/lb) $7.50
NPV ($/lb) - 100% - MM$ $375
NAVPS, Fully Diluted C$/share
Cash (year-end) C$0.43
PLS, 50% (@$7.50/lb, 50 MMlb) C$6.42
Total, Per Share, Diluted C$6.85
Source: Company filings, Cormark

JULY 3, 2013 MIKE KOZAK 416·943·6749
13
Benjamin Ainsworth, P.Eng
President, CEO & Director
Mr. Ainsworth is a professional geologist with 40+ years of experience in the industry. In
his 20 years with Placer Dome, he was a part of the discovery of Howards Pass (now
being developed by Selwyn Resources). Later, he formed a mineral exploration
consultancy company, and was involved in the development of the Huckleberry Mine in
BC, and the property selected for Cascadia Metals, ultimately leading to the Sharingol
gold project in Mongolio (Cameco-Centerra). Most recently, Mr. Ainsworth was the VP
Exploration for Hathor during the discovery of the Roughrider deposit.
Dr. Michael Gunning, MSc,
PhD
Chairman, Director, Lead
Technical Advisor
Early in his career, Dr. Gunning worked with the British Columbia Geological Survey
doing mineral deposit research and geological mapping. Later, he worked with Teck
Resources as an exploration geologist in the Americas, and the Saskatchewan Geological
Survey. Most recently, Dr. Gunning was the President & CEO of Hathor Exploration
where he saw the project through resource definition, and a PEA, and the eventual sale of
the company to Rio Tinto.
Garrett Ainsworth, P.Geo
VP Exploration
Mr. Ainsworth is a professional geologist and the Vice President Exploration for Alpha
Minerals Inc. He has a Diploma of Technology in Mining and Bachelor of Technology in
Environmental Engineering from BCIT, as well as a Bachelor of Science with honours
from Birkbeck, University of London.
Mr. Ainsworth has been instrumental in the successful progress of the PLS project,
where he was the Project Manager (PM) since its inception in 2008. During his tenure as
PM of PLS, he oversaw the staking of new claims, the discovery of the boulder field, the
initial high-grade uranium drill hole discovery (R00E zone), and the discovery of the
high-grade, near-surface, uranium zones R390E and R780E during the winter 2013 drill
program. Apart from being involved with numerous uranium projects in the Athabasca,
Saskatchewan, he also obtained experience as a field geologist on gold projects in British
Columbia, Nevada, and Mexico, and a diamond project in West Africa.
Charles Roy, P.Eng, P.Geo
Advisory Board
On May 29, 2013, Alpha Minerals established an Advisory Board which will be headed
up by Mr. Roy. He worked with Cameco for over 30 years in various exploration roles
including Director of Exploration Agreements, Regional Director for the Americas, and
Director of Advanced Exploration.
Alan Graham
Advisory Board
Mr. Graham is also a recent hire and will work with Mr. Roy on the newly formed
Advisory Board. He was a member of the former Atomic Energy Control Board and
served as commissioner of the Canadian Nuclear Safety Commission (CNSC) for 12
years (1999 to 2011). Mr. Graham has been involved in the permitting of virtually of the
operating uranium mines in the Athabasca Basin and has extensive experience in various
areas of the nuclear fuel cycle and permitting/regulatory matters.
Warren Stanyer
Director
Mr. Stanyer has served as a consultant, corporate secretary, officer, director and
President & CEO of several publically traded exploration companies including Pioneer
Metals, UEX Corporation, and Northern Continental Resources in his 15+ years of
experience in the industry.
James Yates
Director
Mr. Yates was the founder, President and director of Hycroft Resources, which brought
the Crofoot heap leach mine into production. He has over 20 years of experience in the
exploration industry and has served on the Board of several mining companies.

JULY 3, 2013 MIKE KOZAK 416·943·6749
14
Kurt Bordian, CGA
CFO, Company Secretary
Mr. Bordian is a director of several other public companies and has worked primarily in
the mining, exploration, and oil and gas business. He is a designated Certified General
Accountant in Canada.
Target &
Recommendation
Based on a targeted 50 MMlb high-grade resource at PLS at an ascribed valuation of
$7.50/lb in-situ we are launching coverage on Alpha Minerals with a Buy (S) rating and a
target of C$6.50,

JULY 3, 2013 MIKE KOZAK 416·943·6749
15
Fission Uranium, Company Description
Fission Uranium Company
Background
Fission Energy, now Fission Uranium Corp., was originally spun-out of Strathmore
Minerals (STM-TSX) on July 17, 2007, with its primary asset being the 60%-owned
(40% KEPCO) Waterbury Lake project, immediately adjacent to Hathor’s Roughrider
Discovery. On a 100%-basis, the J Zone at Waterbury Lake contained Indicated resources
of 10.284 MMlb @ 1.52% U3O8 and Inferred resources of 2.747 MMlb @ 0.90% U3O8.
Figure 11 NAVPS Estimate/Capital Structure For Fission Uranium
Cash (Current - C$ MM) C$17.00
Cash (Year-end - C$ MM) C$12.00
Shares Outstanding (Current - 000s) 149,400.00 Strike Expiry
Warrants (000s): 623.70 C$0.85 Nov 2013
600.06 C$0.60 Dec 2014
Options (000s): 21.45 C$1.07 Jun 2013
158.73 C$2.00 Jul 2013
178.04 C$0.70 Jul 2013
72.93 C$1.07 Jul 2013
3.22 C$1.96 Jul 2013
169.46 C$1.86 Jul 2013
21.45 C$1.40 Jul 2013
2.15 C$1.07 Nov 2013
430.00 C$0.20 Nov 2013
1,775.00 C$0.30 Jan 2014
85.00 C$0.80 Apr 2014
100.00 C$0.31 Aug 2014
82.50 C$0.80 Aug 2014
2.15 C$1.86 Nov 2015
82.50 C$0.80 Jan 2015
1,055.25 C$0.55 Feb 2015
150.00 C$0.80 Mar 2015
6.44 C$1.59 Apr 2015
12.87 C$2.00 Dec 2015
3,060.00 C$0.80 Dec 2015
450.00 C$1.00 Jan 2016
11.80 C$0.70 Nov 2016
1,100.00 C$0.80 Jan 2017
2,750.00 C$0.55 Dec 2017
Total Diluted Shares Outstanding (000s) 162,404.67
Fully Diluted (Treasury) 000s 158,309.35
Patterson Lake South
Resource (MMlb) - 100% 50
Value ($/lb) $7.50
NPV ($/lb) - 100% - MM$ $375
NAVPS, Fully Diluted C$/share
Cash (Year-end) C$0.08
PLS, 50% (@$7.50/lb, 50 MMlb) C$1.18
Total, Per Share, Diluted C$1.26
Source: Company filings, Cormark

JULY 3, 2013 MIKE KOZAK 416·943·6749
16
Fission Uranium Company
Background (Continued)
The discovery of the J Zone was made by Fission Energy in January 2010 with hole
WAT10-63A returning 10.5m @ 1.91% U3O8 including 1.0m @ 13.87% U3O8 at the
unconformity approximately 230m downhole, directly adjacent to, and continuous with
the original Roughrider zone (HAT-TSX). The resource was calculated on 142 drill holes
totaling 43,900m on a drill spacing of 10-50m. While the J-Zone was an excellent project
in and of itself, after the discovery of PLS in late-2012, Fission Energy effectively
“streamlined itself” by selling the company to Denison Mines for ~$70 MM, and
spinning out its 50%-stake in PLS and $18 MM in cash to existing FIS shareholders. The
all-share deal (0.355 Denison shares per Fission share plus one share in the SpinCo) has
resulted in previous FIS shareholders owning ~11% of DML and their pro forma interest
in the SpinCo, named Fission Uranium Corp (FCU-V). The transaction was effectively a
“clean-up trade” in the Athabasca Basin and one that we regard as mutually beneficial for
Dension and Fission. In addition to PLS, Fission also holds the Patterson Lake North,
Clearwater West, Beaver River, Manitou Falls, Thompson Lake and North Shore
uranium properties in the Athabasca Basin as well as the Macusani uranium property in
southeastern Peru. We ascribe no value to these other assets as they are extremely early
stage, though we note that Azincourt Resources (AAZ-TSXV, not covered) has
commitments to spend $16.75 MM at Patterson Lake North to earn into 50% of the
property (the remaining 50% being Fission). At present, Fission acts as operator at PLS,
and will continue until April 1, 2014. At that point, operatorship will revert to Alpha
Minerals for a period of two years and alternate thereafter, every two years, between both
companies. Fission currently has C$17.0 MM in cash, sufficient to complete 12-18
months worth of exploration at PLS.
Dev Randhawa, MBA
Chairman & CEO
Mr. Randhawa founded Strathmore Minerals in 1996, and spun out Fission Energy in
2007. He was also formerly the founder, President and CEO of Pacific Energy Asia until
it was sold to Green Dragon Gas in 2008 for $35.2 MM. Mr.Randhawa holds an MBA
from the University of British Columbia.
Ross McElroy, P.Geo
President, COO & Director
Mr. McElroy is a professional geologist with 30 years of experience in the mining
industry related to projects at all stages of exploration and development. He was an
exploration geologist at Cameco working with the team that discovered the MacArthur
River project, and has also held positions with BHP and Areva. Mr. McElroy served as
President & COO of Fission Energy and is largely credited with making the Waterbury
Lake/J Zone discovery.
Raymond Ashley
VP Exploration
Mr. Ashley has over 25 years of experience in the mining industry, largely with BHP. He
was a key member of the discovery team at Ekati (Canada’s first diamond mine) and later
held the position of Exploration Manager, Canada Diamonds. Subsequently, he founded a
diamond exploration company, Trigon Exploration, and served as VP Exploration for
Diamondex Resources. Mr. Ashley was a key member of the Fission Energy team during
the Waterbury Lake/J Zone discovery.
Frank Estergaard, CA
Director
Mr. Estergaard was with KPMG for 38 years and retired as a Partner in 2001. Afterward,
he has served as a Director for QHR Technologies, the CFO of Metalex Ventures and the
CFO and/or Director of several private companies.
Jeremy Ross,
Director
Mr. Ross has over 15 years of experience in corporate development and the marketing of
junior mining and resource companies. Most recently, he was the Corporate Development
Consultant for Fission Energy.

JULY 3, 2013 MIKE KOZAK 416·943·6749
17
William Marsh,
Director
Mr. Marsh worked on several drilling programs with Chevron for 15 years in Canada and
Internationally. He is a former director of Pacific Asia China Energy when it was sold to
Green Dragon Gas. Mr. Marsh is also a former director of Predator Capital and Wolf
Capital. He currently is on the Board of Ballyliffin Capital and consults with several
exploration and production companies in the natural resource industry.
Target & Recommendation Based on a targeted 50 MMlb high grade resource at PLS at an ascribed valuation of
$7.50/lb in situ we are launching coverage on Fission Uranium with a Buy (S) rating and
a price target of C$1.25.

JULY 3, 2013 MIKE KOZAK 416·943·6749
18
Appendix A: Risks To Target
Geopolitical Risk This risk deals with policies such as permitting and tax laws that are managed by
governments and the perceived stability and investment environment. These policies can
greatly affect mining companies, and in some cases prevent mining from occurring.
Generally, developing countries are seen as being more risky because of the potential of a
quick change in power to drastically change policies. Developed countries have their own
geopolitical risk issues, and jurisdictions with powerful environmental lobbies can also
make mining or exploration difficult.
Financing Risk Mining and exploration companies may require external capital, particularly when
building new mines. In order to finance these endeavors, equity or project dilution may
be taken to fund the equity portion of the capital costs if the project is to be developed.
Shareholders may also be subordinated by lenders in order to finance a mining project.
Commodity Price Risk Our short- and long-term commodity price assumptions are based on detailed research,
and viewed to be reasonable based on current information. However, the timing and
magnitude of commodity price fluctuations are always a significant risk that, in most
cases, strongly affects the value of mining and mineral exploration/development
companies focused on a specific commodity. Currently, the primary metal exposure for
Alpha and Fission is uranium.
Technical Risk Mining operations are subject to unforeseen risks such as labour strikes, rock bursts,
geological interruptions, and equipment failure, which may negatively affect a company’s
performance. Ore reserve and resource risk is another technical risk that is derived from
the subjective nature of geological interpretation. Competent, qualified personnel
calculate ore reserves and resources, and in most cases have a high accuracy, but any
significant variation on reserves could drastically impact a company’s operations and the
value of its shares.
Exploration Risk In some cases, the market may build in expectations for exploration success before the
actual exploration work has taken place. In the event that results do not meet with the
market’s expectation, the company’s shares may be negatively affected.
Cost Risk Both capital and operating costs may be affected by changes in input prices (fuel, steel,
chemicals, etc.) and by relative currency changes. The company may be at risk of
unexpected cost escalation as a result of these potential threats.

JULY 3, 2013 MIKE KOZAK 416·943·6749
19
Recommendation
Terminology
Cormark’s recommendation terminology is as follows:
Top Pick our best investment ideas, the greatest potential value appreciation
Buy expected to outperform its peer group
Market Perform expected to perform with its peer group
Reduce expected to underperform its peer group
Our ratings may be followed by "(S)" which denotes that the investment is speculative
and has a higher degree of risk associated with it.
Additionally, our target prices are based on a 12-month investment horizon.
Disclosure Statements and
Dissemination Policies
A full list of our disclosure statements as well as our research dissemination policies and
procedures can be found on our web-site at: www.cormark.com
Analyst Certification I, Mike Kozak hereby certify that the views expressed in this research report accurately
reflect my personal views about the subject company(ies) and its (their) securities. I also
certify that I have not been, and will not be receiving direct or indirect compensation in
exchange for expressing the specific recommendation(s) in this report.

JULY 3, 2013 MIKE KOZAK 416·943·6749
20
Figure 12 Alpha Minerals Inc. - Disclosure Chart
Source: Cormark Securities Inc.

JULY 3, 2013 MIKE KOZAK 416·943·6749
21
Figure 13 Fission Uranium Corp. - Disclosure Chart

JULY 3, 2013 MIKE KOZAK 416·943·6749
22
Figure 14 Cameco Corp. - Disclosure Chart

JULY 3, 2013 MIKE KOZAK 416·943·6749
23
Figure 15 Denison Mines Corp. - Disclosure Chart

TORONTO
Royal Bank Plaza South Tower
Suite 2800
Toronto ON
M5J 2J2
Tel: (416) 362-7485
Fax: (416) 943-6499
Toll Free: (800) 461-2275
CALGARY
300 - 5th Avenue SW
Suite 1800
Calgary AB
T2P 3C4
Tel: (403) 266-4240
Fax: (403) 266-4250
Toll Free: (800) 461-9491
www.cormark.com
For Canadian Residents: This report has been approved by Cormark Securities Inc. (“CSI”), member IIROC and CIPF, which takes responsibility for
this report and its dissemination in Canada. Canadian clients wishing to effect transactions in any security discussed should do so through a qualified
salesperson of CSI. For US Residents: Cormark Securities (USA) Limited (“CUSA”), member FINRA and SIPC, accepts responsibility for this report
and its dissemination in the United States. This report is intended for distribution in the United States only to certain institutional investors. US clients
wishing to effect transactions in any security discussed should do so through a qualified salesperson of CUSA.
Every province in Canada, state in the U.S., and most countries throughout the world have their own laws regulating the types of securities and other
investment products which may be offered to their residents, as well as the process for doing so. As a result, some of the securities discussed in this
report may not be available to every interested investor. Accordingly, this report is provided for informational purposes only, and does not constitute an
offer or solicitation to buy or sell any securities discussed herein in any jurisdiction where such would be prohibited.
The information and any statistical data contained herein have been obtained from sources believed to be reliable as of the date of publication, but the
accuracy or completeness of the information is not guaranteed, nor in providing it does CSI or CUSA assume any responsibility or liability. All opinions
expressed and data provided herein are subject to change without notice. The inventories of CSI or CUSA, its affiliated companies and the holdings of
their respective directors, officers and companies with which they are associated may have a long or short position or deal as principal in the securities
discussed herein. A CSI or CUSA company may have acted as underwriter or initial purchaser or placement agent for a private placement of any of the
securities of any company mentioned in this report, may from time to time solicit from or perform financial advisory, or other services for such company.
The securities mentioned in this report may not be suitable for all types of investors; their prices, value and/or the income they produce may fluctuate
and/or be adversely affected by exchange rates.
No part of any report may be reproduced in any manner without prior written permission of CSI or CUSA
A full list of our disclosure statements as well as our research dissemination policies and procedures can be found on our web-site at: www.cormark.com

Cormark Securities Inc: Fission Uranium & Alpha Minerals (July 2013)

Recommandé

Recommandé

Contenu connexe

Similaire à Cormark Securities Inc: Fission Uranium & Alpha Minerals (July 2013)

Similaire à Cormark Securities Inc: Fission Uranium & Alpha Minerals (July 2013) (20)

Plus de Uranium Exploration

Plus de Uranium Exploration (9)

Dernier

Dernier (19)

Cormark Securities Inc: Fission Uranium & Alpha Minerals (July 2013)